ABSTRACT
The EMH suggests that the stock prices in an efficient market should not display any regular pattern. Where the pattern is regular and reliable, this degree of predicability can be taken advantage of by investors to form a strategy to obtain abnormal returns. However, the findings of stock return anomalies in the studies beginning in the 1980s have challenged the EMH. Perhaps the most enduring anomalies are seasonalities (calendar effects) that are specified as the ‘day-ofthe-week effects’, 4month-ofthe-year effects (January effect)’ and ‘holiday effects.’
